Attock Cement Pakistan earns profit in 1QFY24

Attock Cement Pakistan Ltd (ACPL) has announced its 1QFY24 (July-September 2024) results today where the company posted profit after tax (PAT) of PKR1.54bn (US$5.67m) as opposed to PAT of PKR0.11bn in the same period last year. This could be the outcome of selling overseas units during this accounting period, according to the company's filing to the Pakistan Stock Exchange.

However, research house Insight Securities (Pvt) Ltd says that the result came below expectations mainly due to lower-than-expected gross margins and lower gains realised on the sale of a subsidiary. In 1QFY24 the company’s top line increased by 53 per cent YoY to clock in at PKR6.66bn vs PKR4.36bn in the same period last year. The increase in revenue is mainly attributable to increased retention prices and higher volumetric sales, added Insight Securities.

In 1QFY24 the company recorded a gain from the sale of a subsidiary amounting to PKR2.2bn. The company’s finance cost plunged by 73 per cent YoY to PKR37m in 1QFY24 amid declining debt levels. Administrative expenses remained flat YoY at PKR201m. However, QoQ administrative costs increased by five per cent due to inflationary pressures.

Attock Cement Pakistan Ltd has a plant at Hub Chowki, Lasbela, in Baluchistan, with a capacity of 3.027Mta.